15/08/2025

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FRIDAY | AUG 15, 2025

Zeti: Imperative to ensure financial stability, resilience

KUALA LUMPUR: Strengthening brand narratives, embracing ethical governance and forging collaborative networks were among the key strategies put forward at the National CEO Forum 2025 as Malaysian businesses grapple with the pressures of an evolving global economy. According to Interbrand’s 2024 report, brands worldwide have lost US$200 billion (RM939 billion) in unrealised value over the past two years due to short-term thinking and weak brand focus. Malaysia, ranked 36th in the Global Soft Power Index 2025 with a score of 46.1, now faces the risk of slipping further if it fails to sharpen its com petitive edge. CTOS Data Systems chief operating officer Lee Shin Mei said brand equity today can “rise or fall faster than ever before”, making structured, data driven brand management more essential than ever. “In Malaysia, we are a relationship driven nation. We tend to trust people we know without checking. But Ű BY DEEPALAKSHMI MANICKAM sunbiz@thesundaily.com Agilent’s Penang smart factory recognised as global leader in 4IR KUALA LUMPUR: Agilent Technologies Malaysia Sdn Bhd’s smart factory in Penang has been recognised as a global leader in the Fourth Industrial Revolution (4IR) by the World Economic Forum (WEF) and McKinsey & Company. In a joint statement yesterday, the Malaysian Investment Development Authority (Mida), InvestPenang and Agilent Technologies said the accolade honours factories worldwide that demonstrate exceptional performance in productivity, supply chain resilience and talent development through the adoption of advanced technologies. “Leveraging artificial intelligence (AI) and other advanced digital technologies, Agilent Penang has increased overall productivity by 40%, reduced delivery lead times by 48%, and significantly lowered its environmental impact. “These advancements have enhanced agility in meeting changing market demands while equipping its workforce with AI-ready skills,” they said. The parties noted that Agilent’s Penang facility is one of only two factories in Malaysia to be recognised by the WEF, placing the state on the global map for advanced manufacturing excel lence. Penang Chief Minister Chow Kon Yeow said both Malaysian Lighthouse sites being located in the state reflected Penang’s readiness to adopt 4IR and its role as a national benchmark for smart manufacturing. According to Agilent, 88% of its local workforce in Penang have been upskilled through a digital training programme to support the company’s 4IR trans formation. – Bernama

Ű BY JOHN GILBERT sunbiz@thesundaily.com

continuously navigate,” Abdul Rasheed said. In this context, he said, central banking remains an imperfectly defined profession, one where decision-making is often marked by uncertainty and complexity. “To be effective, a central banker must possess the serenity to accept what cannot be changed, the courage to challenge what must not be accepted and, above all, the wisdom and experience to discern between the two. “These qualities are more relevant than ever today, as navigating an increasingly complex economic landscape calls for sound judgement, resilience, and the ability to adapt with clarity and conviction.” Abdul Rasheed said for central banks, prioritising the function over the form of financial innovation is crucial, particularly as ongoing developments continue to reshape the operating environment. “A clear example lies in the rapid pace of innovation across the finan cial sector, such as the emergence of tokenised platforms and the growing role of non-bank financial intermediaries. “By focusing on underlying functions, central banks can better assess and address key risks posed by digitalisation and innovation, especially those affecting monetary transmission and broader economic and financial stability,” he said.

o It’s no longer an option amid global disruptive forces, former BNM governor says at launch of Tun Ismail Ali Centre of Excellence

KUALA LUMPUR: There is a critical need for nations, institutions and businesses to strengthen resi lience in today’s increasingly volatile environment, as the global economy continues to face waves of disruptive forces – from climate change and geopolitical conflicts to sweeping policy shifts in advanced economies. Former Bank Negara Malaysia (BNM) governor Tan Sri Dr Zeti Akhtar Aziz said apart from geopolitical shifts, rapid advances in technology, digitalisation and artificial intelli-gence are reshaping industries and demanding new approaches to risk and innovation. “Ensuring monetary and finan cial stability is no longer optional – it is a strategic imperative. More than ever, local knowledge, innovation and expertise in financial and monetary economics must be sharpened and actively applied to navigate uncertainty and secure long term, shared prosperity,” she said at the launch of the Tun Ismail Ali Centre of Excellence (TIA CoE) yesterday. To support these goals, Zeti said, efforts are being made to advance research in monetary and financial economics while simultaneously enhancing the capabilities of local institutions of higher learning. “There is also a strong emphasis on broadening engagement with aca

There were also research engage ments with local universities, including Universiti Kebangsaan Malaysia and Universiti Malaysia Sarawak, as well as the introduction of a dedicated grant programme to support scholarly work. BNM governor Datuk Seri Abdul Rasheed Ghaffour said emerging challenges such as geo-economic fragmentation, climate change and the rapid digitalisation of finance are reshaping the global economic landscape, with significant impli cations for monetary and financial systems worldwide. Without adequate preparedness, he said, central banks risk being blindsided by evolving risks that could undermine established frameworks and institutional stability. “As the late Tun Ismail Ali aptly noted, ‘the central bank works in an imperfect world, with instruments whose influence is only imperfectly understood, in seeking to attain objectives imperfectly focused and stated only in broad general terms.’ “His words remain a powerful reminder of the complexity and uncertainty that central banks must

demics, industry players, stu-dents, and the public to foster a deeper understanding of these critical areas. “Central to this mission is TIA CoE, which is envisioned to serve as a bridge, strengthening collaboration, encouraging knowledge sharing and deepening engagement between academia and the broader eco system,” said Zeti, who is also the founding chair and co-chair of the Asia School of Business Board of Governors. Named in honour of the late Tun Ismail Mohamed Ali – the first governor of Bank Negara Malaysia and a prominent figure in the nation’s financial history – TIA CoE is endowed by BNM and housed within the Asia School of Business. Even ahead of its official launch, the centre has made significant strides in laying a strong foundation. Key initiatives include research seminars featuring distinguished international speakers, such as Professor Helene Rey of the London Business School, as well as the appointment of Professor Refet S. Gürkaynak of Bilkent University as a research fellow.

Stronger brand strategy, governance and collaboration the way forward

proper governance and due diligence using data are critical to ensure we are working with the right partners and protecting our employees, stake holders and customers,” she said. Lee cautioned that entering into collaborations without background checks can expose companies to reputational and financial risks. She recommended that businesses docu ment a step-by-step brand narrative, set clear key performance indicators and include service-level guarantees in agreements. “Without clarity and measurable commitments, expectations will inevi tably fall short. But when everything is agreed upon and documented, both sides can move forward with confidence,” she added. Deputy Minister for Religious Affairs in the Prime Minister’s Office Dr Zulkifli Hasan said, “From a dollars and-cents perspective, the potential is massive. The Islamic banking sector alone is projected to grow from over US$4 trillion today to US$9.75 trillion by 2029. The halal industry, currently valued at US$2 trillion, is forecast to reach US$9.45 trillion by 2034,”he said. “Islamic business is about serving

From left: Adam, Zulkifli Hasan, Zurainah Musa and Lee during the National CEO Forum 2025 in Kuala Lumpur yesterday.

Muslim Insiders Business Chamber president Prof Adam Richman called on businesses regardless of size to join and actively participate in business communities. “However big your brand is, it’s not a reason to be arrogant. It’s an opportunity to collaborate more,” he said. He noted that well-managed business communities allow com panies to pool resources, combine supply and reduce operational bur dens while increasing market reach.

and mitigate risk. Even banks colla borate with each other today because it makes it easier to access resources, share costs and achieve their objectives.” She pointed to Penang’s rise as the “Silicon Valley of the East” as a case study in collaborative growth. This didn’t happen by chance. It happened because multinationals, SMEs and universities came together to share expertise, infrastructure and oppor tunities.”

both the market and the community. Mechanisms like zakat are not op tional; they are integral to ensuring wealth is distributed fairly and society benefits,” he said. He emphasised that Islamic business principles are not exclusive to Muslims, but applicable to all Malaysians and international markets. KNKV Group chairman Datuk Seri Dr Zurainah Musa said, “Collaboration is the new competition. Companies need each other to share resources